All Forum Posts by: Jim Vasica

I hear what you are saying in the replies about a co flirt with your realtor,  but also consider that your realtor wouldn't recommend someone who is u trustworthy if they value your future business.  Contractors can be hard to hold accountable.  If your realtor can exercise some influence over them with their ability to recommend them, that can be a good way to hold them accountable.  If you feel your realtor isn't trustworthy enough to make the recommendation then I would find a new realtor.  

Don't get too wrapped up in the timing. If you get too anxious it could lead you to accept a deal that isn't so great.  When you are looking for deals are you making offers or analyzing and assuming it won't work?  As part of your analysis find the terms that make the deal work for you and make the offer.   They will probably say no if it's a low ball offer on the purchase price, but someone will eventually say yes.    Don't be afraid to make the offer.  People have lots of motivations for selling a house and they don't all revolve around price. 

if you have been doing this keep at it.  In the long run a couple months is nothing compared to the years of income a great deal can generate for you.   

Welcome to the investing world and co grata on being so serious about your future. Many people would tell you to start by house hacking. I’m going to take a different approach. I would start with a rental first. It can be a 2-4 unit or just a single but I wouldn’t live in your first one. Get one first and work on what it takes to get it rented and manage it before you move out. If you can stay with your parents for a little while longer use that to your advantage. Once you have your first rental save up for your second. Indy tends to have some great cash flow so you should be able to combine your saving and your cash flow to roll into a second. When you are ready for your second property then look for the house hack option. You also mentioned that you are contributing to some retirement accounts right now. In your first couple of years when you are trying to grow fast I would hold off on these contributions unless you are getting a match of some kind. You are already ahead of the game on investing so focus your energy (and your cash) where it will do you the most good. Once you get some traction you can do the IRA thing to build a second nest egg. Congrats again on your motivation. Feel free to reach out directly anytime with questions.

Main thing that caught my eye in your listing description is that there is no AC. I don't live in your area but for a renter to provide a window AC unit seems like a stretch to me.  You may want to consider including a window unit. If not I would at least remove any mention of it in your description. Focus on the things you do provide instead of the things you don't. 

This can go either way.  If they were good, long tenants I would let it go.  If the holes are excessive or hard to patch then go ahead and charge.   To me it's less about the holes and more about touching up the paint but at the end of the day holes usually aren't a major expense. 

If you are financing the properties don't forget about mortgage interest deductions.  Certainly a benefit as you start growing and piling up mortgages.   Always a nice added bonus to yearly returns.  

House hacking would be a great start but with the great position you are in you may not need to take such an aggressive approach based on the lifestyle you want.  

If you want to go fast then House hack.  If you are patient buy two houses with your $160.  One for you and a rental.  Rebuild some savings and buy another in a year or two.  

moving fast is sometimes necessary when you are older but you have plenty of time.  Figure out your comfort level and go from there. 

Even if it was their fault I wouldn't charge them.   But get it fixed fast because if they mess with it and cause a gas leak you will have bigger problems.  
Charging them for it will probably make them worse tentants especially if they feel it wasn't their fault.  Could cause more problems that you won't know about until move out.  Keep the peace and instead of a non-renewal try telling them you need to raise rent a few hundred bucks.  They will either leave in their own or you'll make your money back over the next year.  

@Delbert Standifer can I ask what your situation is?  I've never had a goal of accumulating as many properties as possible.   More interested in getting enough to fund my retirement with the rent once they are paid off.  My goal is 5-6 total. 

I am 46 and planning to purchase 5 total properties over the next 4 years, After they are purchased I will be using my own money (W2 job) to pay them off and retire early. How important is cash flow and COC return now if my plan is to use my own money to pay them off, My theory is with the amount of interest i will save on the loans by paying them off early i will be saving. Am I thinking about this correctly or am I missing something?